Best Opinion: Spend a few days for 8 hours studying taxes, Retirement plans, and investing. Come up with a strategy that works for YOU and your situation. Then increase income By working extra or getting a higher paying job.

Education and your own understanding is the best answer. Defiantly meet with an Accountant and a few financial advisors. Probably the financial advisors first. Then confirm with the accountant. I say a few because you should compare notes between them. You don't need to spend anything for the financial advisor and/or it's a few hundred. The accountant may charge you a few hundred but if you have a list of questions for them it's defiantly worth it.

Then execute YOUR plan.

Principal amount: 0
Monthly deposit: 480
Period: 216 months
Annual Interest Rate: 8%

Total Principal amount $103,680
Maturity value: $231,977

Lmao



This post was edited by Melatonina on May 3 2023 07:51am

48% over 18 years seems pretty tame to me. If you're going by historical figures your money will have gone up well in excess of that if you use a historical S&P 500 return figure. Seems like a fine trade off.

Lets just back test the SPY even. If you put in 10,000 in 1994 your investment now would be worth $152,000 (pre tax if in a non-advantaged account). That's a CAGR of 9.73%. The purchasing power of your $10,000 would be the equivalent of around $24K in 2023 after inflation.

I am happy with inflation as long as the market keeps its historical pace as well.

This post was edited by SBD on May 3 2023 08:44am

8% is a really good return. Is it based on some stock or the stock market? I have vowed to never touch the stock market again. Got burned badly once. Now I put all my spare money into GICs. I think the return right now for a one year GIC is around 4 %. It's way lower, but I get peace of mind.

Also, I won't have much spare money to invest anyway. I need to put all of my money towards paying off my apartment.




Actually, I am not talking about having money right at this moment and then wondering how much it would be worth in 18 years. I will be working and making money during all those years, and I imagine that along the way my income will go up as the minimum wage goes up. And because of this, inflation isn't that big of a concern to me.

This post was edited by JessiWan on May 3 2023 09:41am

You would have to spend the time to figure that %8 return out for yourself. If you call a financial advisor they will be able to explain it to you.

For you comment on spare money. You were planning on working 1 day a week extra. that's a lot of spare money. That would be increasing your income around %20. it's a big deal.

Thats where most people got it wrong, thus they won't see the recession coming just like they didn't saw 2008 coming.
Trees don't grow to the sky so is the market/economic grow. Now get me some pop corns please cause that shit's gonna be fun to watch (again).

This post was edited by Melatonina on May 4 2023 12:50am

Okay? My data included 2008 and if we have another event like 2008 it's of little concern if the market continues its historical pace after. I mean spy was fully recovered in what sub 5 years after 2008?

Sounds fine to me.